Economy.com Daily Update: October 7, 2016

Today's Economy

Venezuela's economy remains in free fall while other Latin American countries see signs of revival.

The U.S. labor market, in its seventh year of expansion, continued to grow.

Expansionary policies fuel inflation of non-tradable goods.

Closing a loophole will prove less effective than more stringent rules.

Commentary

Below-trend world growth will be buffeted by increasing political uncertainty in Europe.

Inflation indicators for the major euro zone economies will likely show prices finally beginning to pick up.

The new governor in Australia maintains course, while India's changes policy.

Countries that tend to follow procyclical fiscal policy could be dealt a blow.

Today's Economic Indicators

Malaysia
Foreign Trade
Aug. 2016: MYR8.5 bil
Malaysian export growth will be uneven for the rest of 2016 because of slow demand from its major trading partners.

United States
California Manufacturing Survey
2016Q4: 59.7

Spain
Industrial Production
Aug. 2016: 4.2%
Spain's industrial production rose 4.2% in August in calendar-adjusted year-ago terms, far exceeding our expectations of no growth and accelerating from a downwardly revised 0.2% gain in the previous month.

France
Industrial Production
Aug. 2016: 2.1%
Industrial production in France rose a robust 2.1% m/m seasonally adjusted in August, more than offsetting the revised 0.5% drop in the previous month.

France
Trade balance
Aug. 2016: -€ 4.3 bil
France's foreign trade deficit held at €4.3 billion, seasonally adjusted, in August, unchanged from the previous month and in line with the Moody's Analytics forecast.

United Kingdom
Halifax Housing Price Index
Sep. 2016: 5.8%
The U.K.

Taiwan
Foreign Trade
Sep. 2016: US$4,374.2 mil
Taiwan is emerging from its export slump, despite a blip in exports in September.

Germany
Industrial Production
Aug. 2016: 2.5%
German industrial production recovered strongly in August, rising 2.5% m/m, following a revised 1.5% decrease in July.

United Kingdom
Industrial Production
Aug. 2016: -0.4%
U.K. industrial production shed 0.4% m/m in August after a 0.1% increase in the previous month.

United Kingdom
Foreign Trade
Aug. 2016: -£12.1 bil
The U.K. trade balance for goods was in deficit by £12.1 billion in August, widening from a downwardly revised £9.5 billion shortfall in the previous month.

Brazil
Consumer Price Index
Sep. 2016: 8.48%
Annual inflation continues to adjust down as prices moderate and the comparison base benefits annual growth.

Chile
Consumer Price Index
Sep. 2016: 3.1%
Annual inflation adjusted down further in September, in part thanks to the comparison base of last year.

Canada
Labor Force Survey
Sep. 2016: 7.0%
Total employment grew by 67,000 in September compared with the previous month.

United States
Employment Situation
Sep. 2016: 156,000
The labor market engine remains in gear.

Mexico
Consumer Price Index
Sep. 2016: 3.0%
Inflation is rising as price realignments continue and the currency remains under depreciation pressures.

Chile
Foreign Trade
Sep. 2016: US$146.4 mil
Chile’s trade balance moved back into surplus in September after posting two months of deficits.

United States
ECRI Future Inflation Gauge
Sep. 2016: 113.1 (U.S.)
The ECRI Future Inflation Gauge rose in September by 0.4 point from its revised level to 113.1.

Canada
Purchasing Managers' Index
Sep. 2016: 58.4
The seasonally adjusted Ivey Purchasing Managers' Index rose to 58.4 in September from 52.3 in August.

United States
Wholesale Trade (MWTR)
Aug. 2016: -0.2%
Wholesalers are reining in their stock.

United States
ECRI Weekly Leading Index
September 30: 139.2
The ECRI weekly leading index rose again in the week ending September 30, reaching 139.2.

United States
Consumer Credit (G19)
Aug. 2016: $25.8 bil
Headline consumer credit wowed in August.